Ukraine-Japan:

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Japan that was named as the No.2 of GDP volume economy in the World, after having a rapid growth of economic development in the 60-70,  by the end of 20-th century has the significant difficulties connected with falling of manufacture in territory of Japan. The end of 80th has been marked for the Japanese economy by unprecedented rise of the prices in the internal share market, the market of the real estate and other markets of capitals which has named "The Bubble Economy". The sensation of a prosperity in a society, appeared as a result of this inflationary rise, has warmed up the appetite to a luxury goods and expensive mode of life that promoted increase in demand at wide assortment of expensive goods and services, many of which are items of import. However, after rise of interest rates in 1991 "The Bubble Rise" was changed into long economic recession which Japan has started to leave only by the end of 20-th century.  The recession which has come after the period of "The Bubble Rise", has caused growth of Japanese consumers consciousness that has led to basic changes in system of selling and in other aspects of business activity in Japan. The middle of 90th years of the last century became the most successful time for the foreign businessmen, decided to conduct business in Japan. Alongside with the mentioned increase of interest to consumer prices - the tendency promoting easing of traditional orientation to personified services - multiplied the voices called for restriction of government intervention in economy that had for an purpose of removal of many barriers which interfered with penetration of the foreign companies onto the Japanese market.  http://www.comitet21.ru/business_kak1.htm

At the same time since 80-90 the tendency to export of the capital outside the country, including into European  countries began to be shown. To the beginning of 21 century, despite lacking steady tendencies to growth of national economy (and, probably, owing to it), occurs the further increase in interest of the Japanese businessmen to investment of the capital in the countries of the East Europe and, including to Ukraine, as began to be observed last years.

Japan is very far from Ukraine geographically, but products of its industry fill all country, and the increasing of volumes of the Japanese investments and expansion of sphere of cooperation would have huge value for development of Ukrainian domestic economy. www.telegrafua.com/articles/1020520132463/

Nevertheless, development of the Ukrainian-Japanese economic cooperation till now restrains a number of important factors. Among them one of the most specific and significant factors are: absence of trust from the Japanese partner to Ukraine as to the country of the possible investments, based on the Japanese awareness of realities of Ukrainian public life from the point of view of an estimation of a political and economic situation in Ukraine, and also language barrier, features of Japanese business-etiquette and national psychology and other specific deterrents cultural or  psychological character, not having the direct attitude to an estimation the Japanese of political or economic realities of Ukraine.

Certainly, it is impossible to underestimate influences of development of a political situation in Ukraine on change of the attitude for Ukraine from business circles of Japan which, nevertheless, as a whole has positive dynamics, however the rates of positive changes in the field of the Ukrainian-Japanese and Japanese-Ukrainian attitudes meanwhile do not satisfy any of the parties. As follows from the information which have distributed Ukrainian News it is literally next day after inauguration of new Ukrainian President Yushchenko: "Japan wishes to develop trading and investment cooperation with Ukraine, Chairman of Japan-Ukrainian parliamentary league Haguo Yanagisava has informed journalists in Kiev, that Japan is interested in purchase of raw material, in particular, for metallurgy at Ukraine, and also in development of trade with Ukraine and in investment in development of the Ukrainian infrastructure … As he said, till now cooperation of Japan with Ukraine was stirred by insufficient awareness of the Japanese businessmen on Ukraine ". www.korrespondent.net/main/112402/

The similar opinion is divided by many Japanese businessmen, being participants of the Ukrainian-Japanese business contacts. Participating in a seminar "Economy of Ukraine: new opportunities for strengthening cooperation" businessmen from Japan frankly spoke that have very much interests in Ukrainian market, but it is a market very difficult to work.  www.poroshenko.org/index.php?menu=publ&id=734&lang=

Certainly, one can mean the political or legislative difficulties that is to be  "on a surface level". However it is impossible to ignore presence and other important barriers mentioned above - lingual, cultural, psychological, etc. which, undoubtedly, defines the specificity of  the Ukrainian-Japanese economic cooperation evolution and, in particular, trends of the market of the Japanese investments into Ukraine. In this point the situation of Ukraine-Japan cooperation development essentially differs from a situation of Ukraine-USA  or Ukraine-Western Europe cooperation development, which is characterized by the fact that the lingual, psychological and cultural barriers between the countries, entering the joint ethnic and cultural space, are not so high and the  problems being occurred are more or less successfully  solved due to the more or less fixed mechanisms of the global economy functioning.

The existing Japanese business ethics significantly  differs from rules and regulations of the behavior accepted in the business  world of the West. The Japanese businessmen prefer direct contact to the potential partner. The aforesaid in the larger part relates to the small and medium business than to the large corporations, however, according to the relation both in that and in other case the almost necessary way of introduction in the Japanese business is personal meeting with the representative of company in combination with sending the official offer on cooperation.

For establishing the business relations with the Japanese company of interest is accepted to use the practice to introduce through the intermediate party that is a universal practice among the businessmen in Japan. It is obvious that the mediator must be well known to the corresponding Japanese company. In a role of the intermediary should be the Japanese businessmen or the foreign companies that have shown itself in work with the Japanese companies preferred to establish communications.  This practice promotes that the Japanese partner will not consider the interlocutor as absolutely unknown  person  and  will listen the presented offers with much greater attention.  www.sferathree.ru/Pressa/top-del.shtml

"Confidence and constancy" the most important determinations of real Japanese business. If something was decided once, it was done for ever. For this very reason the process of decision making continues for a long time in order that everything to provide for every eventuality, to take into account all situations, to notify all potential participants of activities, to obtain their approval, etc. Process "to confirm and specify" sometimes makes visitors feel doubtful.  www.russia-japan.nm.ru/hovanchuk18.htm

As show numerous examples, frequently often most remarkable projects and transactions fail only because the ignorance about habits and etiquette of the Japanese did not allow partners to achieve mutual understanding. www.geosite.com.ru/index.php?pa=showpage&pid=641&page=1

How to avoid this? We hope, that you will find answers to this and other questions in the pages of this web site and also will find out here  many other useful information about how to fix and successfully develop relations with your business-partners in Japan. We wish to offer your attention the following sections of our web site devoted to this problem (the links below available now in Russian only):


Joint Business Projects with the Japanese
"Yes" vs. "No"...

Your Chances of Success,
If you not a Transnational Corporation...

Searching for the Partner in Japan
How and Where?

Internet-Marketing
Is it a Simple Way to Save Your Money or Something More?

Advertising in the Japanese Web
Kanji, Kanji, Kanji... and a Little Bit of Japanese Soul...

Trade creation
Well why I do not have Japanese Grand-Dad!

The First Meeting
How to Prepare Successful Negotiations with your Future Business Partner?

 

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Last updated: 05/07/15